Thursday 24 October 2013 16.13 EDT
First published on Thursday 24 October 2013 16.13 EDT

Car production in the UK has continued its upward surge with more than 1.5m vehicles built over the past 12 months – a volume unmatched since the financial crisis began.

Boosted by a buoyant domestic market, as well as demand for luxury models in the far east, almost 10% more cars, 140,888, were produced last month than in September 2012.

The month's tally pushes the total for the year to 1,125,433 units, nearly 4% more than were made in the first nine months of 2012.

Mike Hawes, the chief executive of the Society of Motor Manufacturers and Traders (SMMT), said: "Boosted by strong domestic demand, September's 9.9% rise in car manufacturing reinforces how the sector is one of the UK's biggest success stories of recent years.

"This year alone, more than £2.6bn has been committed across the UK automotive sector, from the supply chain to global car manufacturing brands.

Cheap financing deals and growing British consumer confidence in an economic recovery has seen the UK buck the sliding sales elsewhere in Europe with unparalleled sales growth, helping to drive up the new production figures.

Nissan, the largest manufacturer among the 30 automotive brands manufacturing 70 models in the UK, recently announced that its Sunderland plant would move to 24-hour production in the new year to meet demand. The plant is also the European base for production of the all-electric Leaf car.

Booming exports of luxury brands have also underpinned production, with Jaguar Land Rover, the Tata-owned carmaker whose three UK plants employ 26,000 people, recently reporting sales for the first three quarters of 2013 had already outstripped 2012's annual total.

The car production figures will be a further boost to coalition hopes of sustained recovery, particularly with its stated aim of rebalancing Britain's economy back towards manufacturing.

Last year's car exports, at over £30bn, accounted for 10% of UK exports and that figure looks set to rise. The prime minister's office, @David_Cameron, tweeted: "Great to see a sharp rise in car manufacturing in the UK. More than a million cars have been made so far this year. #GlobalRace".

While car production continued to rise, the SMMT reported that manufacturing of commercial vehicles was down by 27% year-on-year.

Hawes said the "subdued" figures were down to continuing uncertainty in the EU and restructuring of UK operations, adding: "While the overall market is striving against tough conditions, there remains cause for optimism in some areas, with the truck sector outperforming the market in September."